M&As this week: EQT Corporation, Enerflex, Petronet LNG

EQT Corporation has agreed to acquire the entire outstanding shares of Rice Energy for a purchase consideration of $8.2bn.

The consideration includes both equity and cash payment. Rice Energy owns 187,000 Marcellus shale net acres, 64,000 Upper Devonian shale net acres and 170,000 Utica shale net acres.

The transaction also includes the acquisition of midstream assets of Rice Energy, including 92% interest in Rice Midstream GP Holdings.

EQT has appointed Citigroup Global Markets as financial advisor for the transaction and Wachtell, Lipton, Rosen & Katz as legal advisor.

Scheduled for completion in the fourth quarter of this year, the transaction will allow EQT to expand oil and gas operations in the US.

Enerflex has agreed to the $106m acquisition of compression business from Mesa Compression. Mesa’s compression business includes 689 compression packages.

The purchase consideration will be funded by Enerflex through a combination of cash-in-hand and drawings on the existing syndicated credit facility.

The acquisition will allow Enerflex to expand the geographical footprint of its compression business.

Primoris Services Corporation has completed the acquisition of Coastal Field Services for a cash consideration of $27.5m.

Coastal Field offers pipeline construction and maintenance, pipe and vessel coating and insulation, and integrity support services to the oil and gas industry.

The acquisition will enable Primoris to expand its midstream services portfolio.

Petronet LNG plans to acquire a 25% stake in Mundra LNG from Gujarat State Petroleum Corporation (GSPC), according to sources familiar with the matter.

The Mundra LNG terminal is under construction to be completed in mid-2017. It will have a handling capacity of five million tonnes of LNG a year. The total estimated investment of the terminal is $667.68m.

The acquisition will allow Petronet LNG to strengthen its midstream operations in Gujarat, India.

Noble Midstream Partners has agreed to acquire additional 20% stake in Colorado River DevCo and an additional 15% stake in Blanco River DevCo from Noble Energy.

The transaction implies a purchase consideration of $270m, which will be funded by Noble Midstream through a combination of cash and equity.

Blanco River DevCo owns Noble Midstream’s Delaware Basin in-field gathering dedications on approximately 111,000 acres.

Colorado River DevCo owns Wells Ranch central gathering facility and approximately 125 miles of oil, gas and produced water gathering pipelines in Wells Ranch and East Pony areas.

Noble Midstream will hold 100% stake in Colorado River DevCo and 40% stake in Blanco River DevCo, upon completion of the acquisition.

Scheduled for completion before the end of the second quarter of this year, the transaction will enable Noble Midstream to expand its midstream business.